Max Healthcare strengthens western presence by acquiring Alexis multi-specialty hospital

BL Mumbai Bureau Updated - February 09, 2024 at 03:55 PM.

The acquisition of Alexis Hospital is in line with our vision to expand our footprint in tier-2 cities with abundance of clinical talent and developed private healthcare infrastructure, said Abhay Soi, Chairman, Max Healthcare

Max Healthcare Institute Ltd has acquired 100 per cent stake in Alexis Multi-Speciality Hospital Private Ltd (Alexis) for an enterprise value of ₹412 crore, strengthening its presence in the western region.

The 200-bedded hospital, owned and operated by Alexis is a JCI-accredited facility located at Mankapur, North of Nagpur - an upmarket residential and commercial hub, a note from the hospital chain said. The bed capacity can be expanded to about 340 beds in view of the availability of the floor area ratio (FAR) for the given land and the strength of the existing structure, it added.

Expanding footprint

Abhay Soi, Chairman and Managing Director, Max Healthcare said, “The acquisition of Alexis Hospital is in line with our vision to expand our footprint in tier-2 cities with abundance of clinical talent and developed private healthcare infrastructure. Alexis Hospital acquisition will strengthen our presence in Maharashtra region. With this addition, we now have 4 JCI-accredited facilities in our network and we look forward to bringing the high-end quality care to people of the region.”

The hospital offers multidisciplinary care in gastroenterology, neurosurgery, cardiology, transplants and related diagnostic facilities, among others. It is also equipped with high end bio medical equipment like Varian True Beam LINAC, 128 Slice CT Scan, 3 Tesla MRI, Digital X Ray, ARTIS Q Cath Lab, etc, it added. Further, the hospital medical programme could be strengthened in surgical specialties like urology, oncology and neurosciences leading to improvement in average revenue per occupied bed (ARPOB) and occupied bed days (OBD), the note said. The current run rate of revenue and EBITDA for the hospital is ₹150 crore and ₹25 crore respectively, it added.

Nagpur is a fast growing city with a population density of 47 lakh and high literacy rate, and is located in the heart of Maharashtra, it said. Further the city has availability of experienced medical talent owing to presence of government hospitals, medical colleges and private healthcare players, it added.

Zanubia Shams, Co-Chairperson of Zulekha Healthcare Group (Promoter of Alexis Hospital, Nagpur), said, their decision to consider divesting this business was driven by their strategic focus on its healthcare businesses in the UAE and Gulf.

Published on February 9, 2024 10:25

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